6.3

What is a characteristic of an economy at full employment?

All unemployment is frictional and structural

The type of unemployment that fluctuates over the business cycle is

Cyclical unemployment

Despite some optimism about the seeds of recovery, the Congressional budget office sees joblessness rising. The symbioses unemployment peaking at 10.4% next year for the average of 9.3% this year, before it falls to 9.1% 2011. Before the recession began, the US unemployment rate was about 6%. As a recession begins, firms quickly make playoffs. Is this rising unemployment most arise in fractional, structural, or cyclical unemployment? The resulting rice and unemployment is mostly a rise in __________ unemployment because __________.

Cyclical; it is related to the state of economy

A reduction in unemployment compensation will

Do you increase the amount of frictional unemployment

When the unemployment rate ______ The natural unemployment rate, real GDP ______ potential GDP

Is greater than; is less than

The unemployment rate _________ The natural unemployment rate, real GDP ________ potential GDP

Is listening; is greater than

The natural unemployment rate _________.

Is the unemployment rate when there is no cyclical unemployment

When the unemployment rate is _______ then the natural unemployment rate, cyclical unemployment is

Less; negative

Here for statements about the types of unemployment. Which of these statements is correct? 1. And unemployed textile worker in South Carolina who loses her job because of competition from China is an example of structural unemployment. This type of unemployment arises when changes in technology or international competition change the skills to perform jobs 2. And auto worker who loses his job because of a slow down in the economy is an example of cyclical unemployment. This type of unemployment increases during a recession and decreases during an expansion. 3. An auto worker who loses his job in a recession is an example of frictional unemployment. This type of an appointment arises from normal labor turnover. 4. And unemployed graduate researching for a first job is an example of structural unemployment. This type of an appointment rises from normal labor turnover

Statement wanted to a true; the others are false

Suppose that the number of jobs in the fishing industry decreases with the number of jobs in the travel industry increases. Initially, __________

Structural unemployment increases

When cyclical unemployment increases in other things remain the same, ___________

The natural unemployment rate does not change

What is a characteristic of an economy at full employment?

The unemployment rate equals the natural unemployment rate